ACCA-registered firms and members are both well represented on the recently announced shortlists for the Accounting Excellence Awards and British Accountancy Awards. Many congratulations if you are or your practice is short-listed for the awards, taking place on 20 September and 26 September respectively. ACCA will be hosting a table at each ceremony and we look forward to engaging with – and celebrating the success of – as many of you as possible!
Making Tax Digital (MTD) for VAT engagement letters
The joint professional bodies’ working party (comprising AAT, ACCA, ATT, CIOT and STEP) has agreed to provide an updated schedule to the engagement letters in relation to MTD for VAT and will issue an update after its next meeting on 10 September. In the meantime, please contact firstname.lastname@example.org if you have any queries.
Short survey - the SMP of the future
Please spare a few minutes to complete a survey for the Edinburgh Group, a coalition of ACCA and 15 other accountancy bodies representing over 900,000 accountants. The Edinburgh Group is studying the SMP of the future and we would love to have your insights. Could you please consider completing the survey or asking two of your colleagues to complete the survey? Specifically, we are looking for an early career professional and an experienced professional to participate. The survey is open until 15 August.
Audit monitoring committee
Under the terms of the Delegation Agreement, by which the Financial Reporting Council (FRC) delegates to ACCA certain tasks in relation to statutory audit work, ACCA is required to:
'….have a committee which has responsibility for discharging the function of audit monitoring - including reviewing the results of audit inspections, in particular those which result in an unsatisfactory grade and for ensuring that inspections are carried out to a consistent standard.'
To fulfil this requirement, ACCA is creating a new committee which will have the title of Audit Monitoring Committee (AMC). The purpose and function of the AMC will be limited to those specified in the Delegation Agreement: it will not, for example, have the power to withdraw, suspend or impose conditions on a certificate – although it could recommend that a case is referred to the Admissions and Licensing Committee to consider exercising those powers.
The results of certain audit monitoring visits will be referred each month to the AMC, which will consider each case on the basis of the monitoring visit report prepared by ACCA and related documents, the firm’s action plan produced in response to the visit report and a preliminary risk assessment carried out by the Monitoring department. The AMC will determine the outcome of the monitoring visit, the timing of the next visit and whether any additional action appears necessary. The firms concerned will then be notified accordingly.
Because the meetings will not be oral hearings, the ACCA member(s) will not be present or represented, nor will an ACCA case presenter be in attendance. In addition, there will be no advance publicity of the cases referred to the AMC and its decisions will not be published. For those visits not referred to the AMC, ACCA will notify the firm of the outcome and follow-up once it has received and assessed the firm’s action plan and any other outstanding matters from the visit have been resolved.
ACCA believes that the introduction of an independent review earlier in the monitoring process will demonstrate that the existing monitoring arrangements are consistently applied and effective in upholding appropriate standards of audit work. Therefore, although the AMC has been formed in response to an FRC requirement, in view of the objective and following engagement with the Irish Auditing and Accounting Supervisory Authority, it has been agreed that the arrangements will also apply to firms with Irish audit registration.
Webinar - our qualification is changing; what you need to know
On Friday 3 August we hosted a webinar which provided an update on ACCA's priorities for members in the UK, focusing on changes to the ACCA qualification and the benefits to students, members and employers. Over 1000 members registered in advance, but if you missed this, you can watch on demand; simply register now to access a recording of the webinar.